When someone starts a business, the hope is that it was prove to be profitable. Even a business that runs smoothly might need some extra funding here and there. When a business is struggling, it can be even more difficult. What happens when a spouse asks to use the other's savings or inheritance to feed a failing business? What happens if the couple gets divorced?
A woman recently shared her story about the consequences of owning a failing business in which she invested a bulk of her savings. In this case, the woman said that her husband asked for a loan of $10,000 for the couple's business with an IOU promise to pay it back. She dipped into her savings not once, but multiple times to borrow him money, but she never knew the exact status of the business or his strategy.
Instead, the business didn't recuperate the losses before the stress took over, contributing in part to the decision to file for divorce. When they got divorced, the money had already been spent and she didn't collect on the IOUs.
In this case, the woman said "sure, of course sweetheart," when her husband asked for the cash. Her response is probably a common one. In a marriage, a spouse often has the attitude of "what's mine is yours," but that doesn't mean that they shouldn't protect their financial interests -- and it is an attitude that often shifts when the couple decides to split.
When one spouse wants to use the money saved, inherited or earned by the other spouse, is there a way to avoid suffering financial strain in the event of a divorce? In situations such as this one, a postmarital agreement could be a useful tool. A spouse can set terms that address the use of certain funds during the marriage and treatment of an asset or liability in relation to property division should they file for divorce in Arizona.
The Huffington Post, "My Ex-Husband Depleted My Life Savings (VIDEO)," Ishita Singh, Dec. 2, 2013